CoreSite is seeking a tax rebate for an upcoming data center in Denver, Colorado.
First reported by BizJournal, the American Towner-owned company is planning to “rehabilitate and activate” an abandoned industrial site in Denver as part of a proposed tax agreement.
The data center campus, at 5050 N. Race St., will span 600,000 sq ft (55,700 sq m) and create up to 75 new trades and technology-oriented jobs, according to a presentation by the Denver Economic Development & Opportunity (DEDO) office.
The 15-year agreement will “return 50 percent of sales and use tax generated by construction and sales activities directly associated with the site development and establishment of the data center campus, up to a maximum of $9 million, with the agreement ending once the agreed upon amount has been reached,” the presentation said.
CoreSite purchased the 13.6-acre property in December 2022 for $33.15 million, according to public records. The site previously operated as a concrete manufacturing facility for 70 years; CoreSite received permits last October to demolish an existing shed, plant, and office building.
CoreSite operates 28 facilities across 11 US markets. It has two data centers in Denver totaling 35,000 sq ft (3,250 sqm); DE1 at 910 15th Street, and DE2 at 639 East 18th Avenue.
The company first announced plans for a new Denver campus in late 2023. At the time, the company said it had received conceptual approval for a three-building data center campus development of approximately 600,000 sq ft (55,740 sqm) and 60MW of capacity. To be constructed on 15 acres at 4900 N. Race Street [which is seemingly part of the same site as 5050 N. Race St], the first of three facilities will offer 18MW across three stories. Timelines were not shared.
Stonepeak, which owns a stake in CoreSite, has partnered with the data center company in a joint venture to develop the first DE3 facility. The companies said it would be constructed on a modular basis over three 6MW phases, for a total estimated development cost of more than $250 million.
